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Depression
The Great Depression
Pre-Depression Economy Summary
• Write a journal entry describing a weakness in your chosen character's sector of the economy that would later contribute to the Great Depression.
• Write a summary of the weaknesses in the American economy that contributed to the Great Depression.
The Great Depression was one events of the twentieth century that defined the entire century. It was the longest lasting and most widespread financial crisis in the history of the country. However, it also spread globally and many economies were all involved in varying amounts depending on their trade arrangements with the U.S. The atmosphere in the U.S. was filled with desperation and pretty much any political leaders who had a seemingly reasonable idea gained popularity quickly as people demanded action.
In the United States the economy went from virtually booming to bust in a relatively short time frame. Although the unemployment rates today are relatively high, the differences are not even close when compared to the unemployment...
The unemployment rate today is slightly less than the average of all the pre-WWII recessions of the period. However, putting this in context within today's environment can provide insights into the severity of the event.
Figure 2 - Comparison of Recessions (Rampell, 2010)
2. Economic and Psychological Impact Summary
• Write a journal entry describing the economic and psychological impact of the Depression on the character.
• Write a summary of the overall economic and psychological impact of the Great Depression on the American people.
The events started to unfold in September of 1929 as stock prices began falling on the New York Stock Exchange (NYSE). Then on October 29, 1929, a day commonly referred to as "Black Tuesday" the stock market came to a screeching halt. The investors at the time were making creative investments that all feel apart overnight leaving most bankrupt. Businesses that were producing stuff literally watched the demand for their…
Works Cited
History. (N.d.). New Deal. Retrieved from History: http://www.history.com/topics/new-deal
Rampell, C. (2010, January 28). Unemployment Today vs. The Great Depression. Retrieved from The New York Times: http://economix.blogs.nytimes.com/2010/01/28/unemployment-today-vs.-the-great-depression/
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